Wednesday, October 26, 2016

Flat Tax Did Worse Than Not Delivering Robust Growth

The trickle-down economics implemented by the Labour Party as from 2006 on the back of a string of lies -- triple external shocks -- did not, as expected, generate the average growth rates of 8%. In fact the growth trajectory over the past decade has been worse than the one Mauritius achieved with progressive taxation over the preceding 10 years. No wonder then that compared to the robust growth targets we've accumulated a GDP shortfall of around 925 billion rupees, 80% of which or 740 billion should have been generated by the private sector.